Monthly Archives November 2017

EU May Class UK as Tax Haven

November 29, 2017 Taxation in UK

UK tax havenLONDON – The UK faces the risk of being classified as a tax haven, once it leaves the protective veil of the EU.

In a new report, the thinktank Tax Justice Network claimed that the EU could potentially classify the UK as a tax haven following the completion of Brexit negotiations.

The researchers at the Tax Justice Network evaluated several countries against the EU’s own classification of what is a tax haven.

The countries which were found to be tax havens were Luxembourg, Ireland, the Netherlands, Cyprus, Malta, and the UK.

However, the EU also has a policy of not classifying its member states as tax havens.

The researchers believed that if the UK leaves the EU, and the exit negotiations do not end positively, then the EU will have the capability of classifying the UK as a tax haven.

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Italy Steps Closer To “Web Tax”

November 28, 2017 Taxation in Italy

italy taxROME – Italy looks set to be a leader in the world by implementing one of the first digital sales taxes.

Over the weekend the Senate of Italy approved the implementation of a new tax on digital sales.

The tax is designed to expand the tax net to include multinational internet businesses which sell goods and services to Italians, but do not pay any local taxes by virtue of being registered in a different jurisdiction.

The new tax will require the online businesses to withhold a tax of 6 percent at the time of the sale, passing the revenues to the tax authorities.

The tax is expected to come into effect in January 2019, and will raise approximately EUR 114 million per year in extra tax revenues.

The exact mechanics of the tax have not yet been confirmed, but the government is expected to re...

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UAE Opens Tax Agent Registration

November 27, 2017 Taxation in UAE

VATABU DHABI – UAE’s VAT registrations are speeding up, with tax agents now being able to be officially registered.

Over the weekend the Federal Tax Authority of the United Arab Emirates opened up the process of registration for tax agents in the country.

The UAE will enact a Value Added Tax on the first day of 2018.

As the profession of tax agent is new in the UAE, the standards for registering as a tax agent has not been set in stone, and, currently, the only requirement is a Bachelor- or Master-level degree in tax, accounting or law from a “recognized educational institute”.

The VAT implementation process in the UAW has been progressing rapidly, as only weeks ago the registrations for businesses were opened up.

The FTA has stated that businesses must register for VAT by December 3rd, ...

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Inheritance Tax Up By GBP 1 Billion

November 24, 2017 Taxation in UK

Inheritance taxLONDON – More people dying and expensive houses mean that the UK government will enjoy an extra GBP 1 billion windfall.

New information released by the UK Office for Budget Responsibility shows that UK taxpayers will soon hand over nearly GBP 1 billion more in inheritance taxes than previously forecast.

In March this year, the government’s own projections showed that between 2016 and 2022 approximately GBP 32.4 billion will be collected from inheritance taxes.

However, this forecast has already been reviewed upward by approximately GBP 900 million over that timeframe.

The increase in the expected collection has been attributed to a higher than forecast mortality rate, and increase in the value of the houses and assets that fall under the scope of the tax, and an improved rate of enforc...

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Singapore Eyes Online Shopping GST

November 23, 2017 Taxation in Singapore

Online shopping taxSINGAPORE – Singapore’s rising government expenditure may soon be financed by a tax on online purchases.

As the spending needs of the government of Singapore grows, authorities may soon look into re-working the current legislation on the collection of Goods and Service Tax.

Currently, any goods or services purchased by a taxpayer from Singapore from an international online retailer, are not liable for GST, unless the cost exceeds SGD 400.

Some experts have suggested that the government may lower the threshold in order to capture more transaction under the net of GST.

While the government has not given any indication of how exactly the changes will work.

However, it is expected that the changes will either require merchants to register for GST in Singapore and collect taxes on behalf of ta...

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